Current accounts have no upper limit to the number of deposits or withdrawals from the account, making it widely popular among businesses. So, to enable cash transactions with ease, current accounts can be linked with UPI (Unified Payments Interface). Here is a guide to connect your current account to the UPI id.
What is UPI?
UPI is a payment interface that helps in secure and convenient transfer of funds. Transactions through UPI have an added layer of security as it masks the sender and receiver’s IFSC code and bank account number. So, linking the current account through UPI brings added advantage to the account holders.
How UPI works?
In order to activate the UPI id the primary step is to link the bank account and for that you will need your IFSC code and the bank account number. Once the bank information is put, the user needs to create a virtual address for receiving and sending money. The virtual address is the identification code and needs to be unique. While making any payments through UPI the sender needs to input this Virtual address and then confirm the pin and the amount will be debited from the account.
How to link Current account to the UPI?
Linking online current account and sending money is no different from the process for savings account. The UPI id doesn’t distinguish between the savings account or the current account. To register the current account to the UPI id, the current account number and the IFSC code is required.
Explained below is a step by step method to register your current account to the UPI id:
- Download any UPI app from the play store (for android) and app store (for iOS)
- Click on “New user registration”
- Once you click on the new user registration An OTP will be sent to verify the mobile number
- Once the mobile number is verified fill in the required details
- Create a unique 6 digit numeric password to login (This will be required every time you make a payment)
- Now, you can easily login to your UPI app
- Click on the add bank account link
- Choose the bank where you have current account
- You will need to enter the last 6 digits of your debit card and the expiry date
- Once the details are entered you would need to set an UPI pin and create a virtual address
- An OTP would be send to the registered number and you are set to make the payment
Why should business accept UPI payments?
Generally, UPI payments are not popular among businesses and small locals, but if the app is disseminated, it will be easier for small business to make payments or receive payments from vendors.
UPI apps are a better option of payment method as compared to any other online current account as the transactions are done in real time. Payment through UPI app enables instant SMS facility which allows the user to know about the any transactions that have been made through the account. UPI app also allows adding multiple bank accounts and the sender can choose the account from which he/she wishes to complete the payment or receive the money.